ClickSwitch Holdings Inc. said Tuesday it raised $13 million in its second round of venture-capital funding in 10 months.
ClickSwitch secures $13 million in second capital-raising in 10 months
The Minneapolis company developed a system for banks to move a person's direct-deposit and bill-payment information in one click.
May 15, 2019 at 12:15AM
The Minneapolis company developed a system for banks to move a person's direct-deposit and bill-payment information in one click. It will use the funds to add employees, develop more software and expand its sales and marketing operations.
The firm in the past two years has signed up more than 300 banks to incorporate its technology into their online services and mobile apps. Last month, ClickSwitch revealed that wireless provider T-Mobile is using its technology in its recently launched T-Mobile Money service.
The new funding, a Series B round, was led by Commerce Ventures of San Francisco and Point72 Ventures based in New York.
Cale Johnston, the company's chief executive, started the firm six years ago. He turned to outside investment for the first time last July, closing a $3.5 million Series A round that was also led by Commerce Ventures.
Since that time, he said ClickSwitch "gained momentum" with banks and other financial firms that are racing for preferred financial institution status with consumers.
"We have a lot of good ventures and people behind us," Johnston said Tuesday.
The company now has about 50 employees in the warehouse district of downtown Minneapolis.
Evan Ramstad • 612-673-4241
The two companies announced the agreement Friday evening. The terms are effective immediately.
